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STEEL
Achieved 20% growth in prime product sales, reaching
699.000 tons, while consolidated turnover increased 20% to
$716 million.
Consolidated export sales decline in 2013, due to the
structural change of OCTG sales through our US subsidiary
rather than a 3rd party distributor company, has largely recouped
in 2014.
With a focus on rapid export growth, Borusan Mannesmann
directed approximately 65% of total prime sales to export
markets. Tons exported soared 43% while the turnover
generated from these pipes expanded by 44%.
Achieved company’s highest level of profitability in automotive
pipes and maintained the record sales tonnage levels achieved in
the previous year.
Standard pipe sales increased 29% and much of the increase
came from high value-added steel pipes.
Borusan Mannesmann Pipe US. Inc., a $150 million USD
investment to serve the U.S. OCTG market with 300,000 tons
capacity, has started production.
The trio-consortium under the leadership of Borusan
Mannesmann, (Borusan Mannesmann, Erciyas Boru and Noksel
Boru) awarded to supply approximately 30% of the total steel
pipe demand for the Trans Anatolian Natural Gas Pipeline
(TANAP). The total contract value of the consortium is $420
million and the shipment of steel pipes is expected to start
in 2015.
Awarded a $130 million contract, devoted to one of our key
strategic growth areas, to supply large diameter line pipes for
a 449 km pipeline construction in Texas. The project will be
the longest pipeline project in Borusan Mannesmann’s history
with the supply of steel pipes length of 24.5 meters after the
completion of H2S investment. Shipment of these pipes is
expected to be completed in 2015.
High value-added new product sales increased to 17% of
prime sales turnover from 6% in previous year, in response to
day by day increasing weight of developing of new products in
line with company’s vision.
2014 HIGHLIGHTS
OPERATIONAL INFORMATION
BORUSAN MANNESMANN
Prime Product Sales (K Tons)
Domestic
Exports
2010
100
200
300
358
284
270
272
255
444
311
583
699
745
700
677
475
416
319
400
500
600
700
800
900
1000
2011
2012
2013*
2014
Investments (million USD)
2010
20
40
60
80
100
120
140
2011 2012 2013
2014
36
83
138
57
30
*Our consolidated export figures dropped in 2013 compared to those for 2012 because
the pipes used in the OCTG segment began to be sold through our partner BM Pipe US
beginning in 2013. This decline, however, was largely recouped in 2014.